Market: Profit Warnings DuPont Revises 2011 Earnings Expectations
American chemical giant DuPont clouds the outlook: The company has just revised its 2011 Full Year Earnings Expectations. Its only the latest in a series of profit warnings by big players of America's industry.
Wilmington, Delaware/USA – DuPont revises its 2011 full-year earnings outlook to a range of $3.87-$3.95 earnings per share (EPS), excluding significant items. These figures would represent an 18-20 percent increase from 2010 earnings. “We are seeing slower growth in certain segments during the fourth quarter, driven by global economic uncertainty,” said DuPont Chair & CEO Ellen Kullman. “This uncertainty is contributing to ongoing conservative cash management in some supply chains.”
According to DuPOnt, this revision reflects a current trend to reducing stockpiles within the polymer business and certain other industrial supply chains, which has even accelarated during the fourth quarter. Both the housing and construction and consumer electronics market have witnessed only little demands, recent studies confirm.
Now DuPont officials try to reassure their stakeholders and business partners by focusing on an aggressive future strategy: “We continue to drive our aggressive productivity initiatives, and, with customer inventories at very low levels, we are staying close to our customers to assure that we are ready to respond when demand returns,” Ellen said. DuPont expects earnings growth in 2012 and will provide guidance for the full year during its annual Investor Day in Wilmington, Del., Dec. 12-13.